Chapter 567
Wu Rongbang glared at Yang Fan angrily and said, "Are you kidding me? Do you print as much money as you want? Although printing more money can solve the fiscal deficit, this is simply a drinking poison to quench thirst!"
Yang Fan was not panicked at all, but nodded seriously and said, "Don't worry, I'm sure I'm sure of doing this. How can I destroy the foundation I have worked hard to build with my own hands? Just let it go. I have notified the Mint to print 500 million yuan! You really don't have to worry about the fiscal deficit and money shortage!"
There are usually three ways to solve the fiscal deficit:
First, increase taxes.
This is the most direct way to increase taxes on individual enterprises.
However, this move has obvious side effects. Increased tax revenue will increase the burden on corporate residents, which will inevitably cause a rebound, especially in the economic downturn. If taxes are increased, it will inevitably be cursed by the public, so this move is not the best strategy.
The second is tax cuts.
According to general logic, isn’t tax cuts a bigger increase in fiscal deficits? In fact, tax cuts mean reducing the burden on corporate residents. If the company has less taxes, it will invest more, hire more people, and give employees a raise.
The same goes for the public. If the tax paid is less every month, they will consume more, and this virtuous cycle begins.
As long as the tax base is increased enough, government tax revenue will be increased, and the deficit problem will be solved, and this is a win-win situation.
But you need to grasp this degree well, when to reduce taxes, how much taxes, etc.
The third is to print money.
Turning on the money printing machine and printing enough money to encourage corporate investment, increase employment, and thus promote consumption is also a direct way to solve the deficit.
However, the side effects of this move are extremely obvious, which will cause inflation in the whole society, and will aggravate the gap between the rich and the poor, reduce the government's credit, and the sequelae are extremely serious.
However, for Yang Fan, both increasing taxes and reducing taxes are not feasible at present. The most effective way is to open the leading company and print a lot of money.
As for the inflation issue, there is no need to worry about Yang Fan, because not only is the United States continuously flowing in huge wealth, but the Taobao Manor in the system also makes money every day.
As long as military defense and urban infrastructure projects are done well and solidly, and tens of millions of people in the jurisdiction are fully absorbed and digested, a good internal circulation system can be formed at that time.
At most, it means a lot of military expenditures, rather than crazy investment in construction in all aspects like now and spending a lot of money on it!
"What? You have to print 500 million yuan at once? I heard it right?"
After hearing this, Wu Rongbang rolled his eyes directly. If such a huge sum of money flowed into his jurisdiction, it would be no different from a flood of beasts. It would be strange if the RMB did not depreciate wildly at that time.
Wu Rongbang did not know that Yang Fan had a systematic shopping mall, nor did he know that he could directly bring back the materials purchased from the United States through the system. He just knew that a cargo ship could arrive in Qingdao every month.
The goods worth the cargo ship are only several million yuan at most, equivalent to a maximum of over 10 million yuan. They cannot hedge against the fiscal deficit of the addition of the Indian government, and cannot offset the impact of the crazy release of the RMB.
Of course, Yang Fan would not explain this, but nodded extremely seriously and said, "Minister Wu, I was not wrong, and you heard it wrong!
There are some things I can't tell you yet, but I will never shoot myself in the foot if I do this. Don't worry, and be sure to believe me!"
"Okay! I know what to do!!"
It was known that Yang Fan was not joking. Wu Rongbang had to know that Yang Fan had many little-known secrets. Since he had said this, he could only put away his doubts and follow Yang Fan's instructions to implement them.
"If there is nothing else, I will say goodbye."
After chatting for a few words, Wu Rongbang voluntarily left the market. He originally wanted to advise Yang Fan to increase revenue and reduce unnecessary extravagance and waste to solve the fiscal deficit, but Yang Fan didn't even think about it and directly printed money, without mentioning other measures.
Therefore, Wu Rongbang could only wait.
"Oh, money is really useless!"
Looking at Wu Rongbang's back as he left, Yang Fan couldn't help but sigh. Although he was pretending to be like the wind just now and was sitting firmly on the Diaoyutai, his heart couldn't help but feel pain.
Now the monthly expenditure is as high as 44.74 million yuan. Isn’t this a bloody battle with the Japanese?
If we take full advantage of the fire at this time, wouldn’t it mean that the consumption speed would have to be at least quadrupled. Even if the United States has full blood transfusion, coupled with the output of the Taobao manor in the system, it would only barely balance the income and expenditure!
If we take a step forward, we will turn from defense to offense in the future and take the initiative to attack and start a full-scale war with the Japanese army, let alone the materials and wealth consumed will not be enough.
It turns out that the cannon was fired and ten thousand taels of gold was lit. No wonder the Japanese prepared for so many years. In less than two years after the war was truly launched, they consumed the accumulated capital for many years and could not continue to maintain a large-scale comprehensive attack, so that the War of Resistance entered a stalemate stage.
"No matter what, the most important thing now is to steadily accept all the refugees in Shanghai! The others are slowly developing vulgar!"
After thinking for a while, Yang Fan withdrew his thoughts and returned to his desk to continue processing important documents that needed approval.
Before and after the outbreak of the European War in 1939, President Roosevelt determined that the United States' defense line was in Europe and repeatedly proposed amendments to Congress to revise neutral legislation.
After a long debate, Congress passed an amended neutral legislation on November 3, 1939 to abolish the provisions of arms embargo and allow belligerent countries to purchase arms in the United States, but implement the principle of "purchase and self-transportation".
The new bill supports Britain and France in weapons and materials; in the East, it is beneficial to Japan but not to China, because China is unable to transport itself.
But this is not a problem for the Republic of China government. Through various diplomatic channels, the Republic of China government can completely borrow British and French ships to transport arms to the British colony Myanmar, and then transfer to the Yunnan-Burma Highway to enter China!
Although this would cost more money, it would be hundreds of times better than being kidnapped by the Japanese devils on the way.
Shanghai Meiyuan.
He strode into the office of Kagesaki Joseki, looking at Kagesaki who was dealing with the official documents, Ken Inukai stood attentively and shouted: "Your Excellency Colonel, are you asking me for trouble?"
"Inuyasu, you're here!"
Kagesaki raised his head and said with a smile, "You should go back and prepare quickly, and go with me to see Commander Okamura in half an hour."
"Nani, Commander Okamura?"
Ken Inukai said in surprise, "Shouldn't he be in Wuhan now?"
Kagesaki Aki smiled and said, "Commander Okamura is planning a major military operation recently, but due to insufficient food and grass, he made a special trip to Shanghai before the war.
After arriving in Shanghai, I heard that Inukatsu is an expert in economics, so Commander Okamura named you to see you. At that time, you have to perform well!"
Chapter completed!